Core Viewpoint - The Australian government has revised its economic forecasts for the 2025-26 fiscal year, indicating an increase in inflation and unemployment expectations while maintaining the real GDP growth forecast unchanged [1] Economic Forecast Adjustments - Inflation expectation for the 2025-26 fiscal year has been raised from 3.0% to 3.75% [1] - Unemployment rate expectation has been increased from 4.25% to 4.5% [1] - Nominal GDP growth expectation has been adjusted from 3.25% to 5.25% [1] - The real GDP growth forecast remains unchanged at 2.25% [1] Fiscal Deficit and Cash Balance - The projected cash balance deficit for Australia by the end of the 2025-26 fiscal year is expected to be AUD 36.8 billion (approximately USD 24.4 billion), which is lower than the previous forecast of AUD 42.2 billion [1] Economic Resilience and Investment Outlook - The Australian economy is reportedly responding strongly to challenges, with a recovery in the private sector accelerating [1] - The improvement in business investment prospects in the non-mining sector is identified as a key driver, with expectations that non-mining business investment will reach historical highs in the coming years [1]